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Technical analyst JayDee has recently asserted that XRP Bollinger Bands are getting thinner by the day, emphasizing a 65,000% price growth likelihood.
In a recent analysis, JayDee stressed the ongoing compression observed in XRP’s recent candlestick patterns on the monthly timeframe. He pointed out historical periods when similar thin bands resulted in big price moves to the upside.
The 2017 occurrence has been the most notable, as XRP exploded to an all-time high after the price compression ended.
However, upon reaching the peak of $3.84, the bull momentum resulting from the breakout encountered rejection. Accordingly, a downtrend commenced.
However, the XRP Bollinger Bands again showed notable compression in the 2020/2021 cycle. A substantial price rally followed, but this time, it was unable to break the previous all-time high. XRP maxed out at $1.96 during this season when a rejection occurred.
The ensuing downtrend since then is now showing longer, tightened bands. Multiple analysts believe the breakout this time would be more explosive than the 2020/2021 cycle. More specifically, they projected the anticipated reversal to be of the same magnitude as that observed in 2017/2018.
This is because of their observation that the current bands are as thin or even thinner than those of 2017 before the aggressive price pump surfaced.
Is a 650X XRP Surge On Cards?
In his analysis, JayDee stressed that following the last breakout, XRP did a 650X price surge or 65,000% growth. He draws this parallel to suggest the potential upside market participants could anticipate this time.
Meanwhile, JayDee is not banking on this price surge. Instead, he specifically noted that between a 5X to 10X price surge is within reality for XRP. With XRP around $0.59 at press time, this potentially puts XRP around the $5 range.
I wish brotha.. more like 5-10x.. we will see though
— JD 🇵🇭 (@jaydee_757) September 20, 2024
Furthermore, the analyst expressed confidence in his investment strategy, expressing delight that he bought more Bitcoin during the bear market. Now that Bitcoin has jumped by over 140% since then, while XRP has not, he will leverage the BTC portfolio to accumulate more XRP to position strategically for the projected gain.
According to him, it “will be a massive life-changing” return, but for the top minority.
Notably, JayDee is not the only analyst observing the tightening bands of XRP to suggest a promising prospect for the token. Numerous other analysts have called attention to the technical observation, with some even saying XRP is on a technical time bomb.
Critical Views
However, some market participants are not sharing this bullish sentiment. An XRP enthusiast from Austria noted that he doubts that there will be any move on XRP at the moment.
This commenter noted that nearly every other asset is a significant bull run while XRP struggles to break the $0.60 level. “TA can’t be the only reason here,” he submitted.